Trademark infringement: Patanjali asked to deposit ₹50 lakh for breach of Bombay High Court order

The company admitted to selling camphor products despite the court’s injunction order

Updated - July 11, 2024 07:04 am IST

Published - July 10, 2024 12:57 pm IST - MUMBAI

In August 2023, the Bombay High Court, in an interim order, prohibited Patanjali from selling or advertising the camphor products. File.

In August 2023, the Bombay High Court, in an interim order, prohibited Patanjali from selling or advertising the camphor products. File. | Photo Credit: Reuters

The Bombay High Court on July 8 directed Patanjali Ayurved to deposit ₹50 lakh for an alleged violation of an ad-interim order restraining the firm from selling its camphor products related to a trademark infringement allegation filed by Mangalam Organics Ltd. A copy of the order was made available on Wednesday. 

On August 30, 2023, the High Court had restrained Patanjali Ayurved from putting out its camphor products for sale in the market after Mangalam Organics Ltd. filed a commercial Intellectual Property Rights (IPR) suit against the firm. Despite the court orders, Patanjali Ayurved was in persistent breach of the interim order, the applicant claimed.  

On June 2, 2024, Patanjali Ayurved, in an affidavit, issued an unconditional apology and an undertaking to abide by the orders of the court but in the same affidavit, Rajneesh Mishra, Director of Patanjali Ayurved, admitted to breaching the ad-interim order and accepted of selling camphor products worth ₹49,57,861 after the injunction order. 

A single Bench judge, Justice R. I. Chagla on July 8 observed that Patanjali Ayurved had admitted to selling camphor products post the injunction order passed in August 2023. The court said, “Such persistent breach of the injunction order by defendant no. 1 [Patanjali Ayurved] cannot be tolerated. Accordingly, it is appropriate to direct the defendant no.1 prior to passing of order for contempt/breach of the injunction order to deposit in this court, within a period of one week from the date of this order, a sum of ₹50,00,000.“  

The judge said, “Having considered that the defendant no. 1 in the said affidavit dated July 2, 2024 has itself admitted that it has been supplying the impugned camphor products post the injunction order and which according to defendant no. 1, continued till June 24, 2024, there is an admission as to the breach of the injunction order having been committed by defendants for which the defendants would necessarily have to purge the contempt of the injunction order.”  

The court has also directed Mangalam Organics Ltd. to tender an affidavit detailing the list of breaches by Patanjali Ayurved. Justice Chagla posted the matter for further hearing on July 19. 

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